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All Forum Posts by: Marc Lewis

Marc Lewis has started 1 posts and replied 1 times.

Buying & Selling Real Estate

Post: 50% or 1% rule

Marc LewisPosted
  • Marlton, NJ
  • Posts 1
  • Votes 0

I'm looking at buying a beach house in South Carolina. The rental season from what I can tell is only really 5 months. I want to purchase a 2nd home and rent it out for as much as I can but take advantage of it in the off season. The rental income will cover around 10 months of PIT&I and additional expenses ie utilities, internet, phone, cable, water electric or about 80% of my out of pocket costs. I know the 50% rule is a rule of thumb for investment properties. Just wondering anyone's rule of thumb in this situation.

0 Votes